- The first step in saving money is making a budget and figuring out where you can minimize expenses.
- Many stores and companies offer discounts specifically for seniors and veterans.
- Some lifestyle changes seniors can make to save money include cooking and exercising at home.
- Even in retirement, seniors can maintain a stable income by getting part-time jobs or investing.
Are you looking to maximize your savings and achieve financial stability? Lucky for you, there are several different ways for seniors to save money. Through proper budgeting, lifestyle changes, and emphasis on store coupons/discounts, you’ll be able to enjoy your retirement period with extra money in your pocket.
Budgeting and Savings
An effective way for seniors to save money is to create a retirement budget! Make sure that your budget encompasses all of your monthly earnings and expenses. Be sure to be realistic with your monthly goals and how much you are going to contribute towards your retirement savings. The key is to develop a sustainable plan that factors in your taxes, essential expenses (rent, gas, etc.), personal expenses (entertainment, food, etc.), and more. If you want more advice on how to cut costs in retirement, click here.
With home loan rates dropping significantly throughout the United States, a great idea would be to take advantage of refinancing your mortgage. Think of how much longer you would want to live in your current home and weigh out the pros and cons before deciding to do this. An important factor to consider before refinancing your mortgage is whether your monthly payments are lowered with the lower mortgage rate.
A very prominent issue for senior citizens is dealing with healthcare expenses, especially after retirement. If you were planning on retiring this year, then you would need a whopping $390,000 to cover future healthcare expenses. The last thing anyone wants to do is to be spending that amount of money on something as unpleasant as healthcare. So, what can you do? On the websites provided below, you’re given the option of searching for affordable healthcare insurance by state. Pick the one that suits you best – and results in savings for your wallet.
No matter your age, it is never too late to invest in the stock market. The stock market serves as an alternative form of passively increasing your income over time. While there are risks involved given the stock market’s volatility, this could be averted with proper research and guidance. An ideal plan would be to focus on long-term investments with companies that have solid dividends. By investing your money on high-quality stocks, you’ll be able to weather any market volatility and hopefully double your income in a few years. A couple of trading applications to get you started are:
- TD Ameritrade
- M1 Finance
Maximizing Social Security
You’re nearing your retirement age and can’t wait to file for your Social Security Benefits. For the majority of people, Social Security income will be the only form of income for the rest of their lives. One does have the option of retiring (age 62-64) to enjoy that early income to do as they please. However, a more viable option would be to hold off on retirement as long as you can. The longer you delay retirement, the more money you accrue on your Social Security income (8% a year until it caps at the age of 70). Weigh out the positives and negatives of either option before deciding!
Eliminate Transportation Expenses
Owning and maintaining a car can prove to be an expensive issue. This is especially true when it comes to older vehicles that need constant repair over little things. Solving transportation expenses is a difficult task, but there are solutions to the problem. Some solutions to help mediate your problem can include carpooling with friends or coworkers. Not only does it reduce the maintenance fees over your own vehicle, but it also lessens the number of times you fill gas. Another decent alternative depending on where you live would be to utilize public transportation. Whether it be the bus or train, you end up spending far less on these transportation methods than you would be driving your car.
Cooking at Home
Tired of spending money on food every time you go out? One of the easiest ways for seniors to save money is by cooking at home! You’d be surprised at how easy it is to cut back on food costs once you start purchasing your own ingredients and cheffing up a delicious meal. Even if you don’t know how to cook it is never too late to learn a new recipe. Once you start cooking it becomes easier from that point onwards. You gain from saving money, in addition to eating healthier on a regular basis. Correspondingly, another tip to emphasize is that it is crucial that you meal prep for the entire week. This is very important for those that have strict schedules, and otherwise wouldn’t be able to cook as often during the week. Remember – practice makes perfect!
For millions of Americans, coffee is ingrained into their daily lives no matter what. Without coffee, many of us would be tired and become less productive at work. This caffeine dependence is no exception to seniors. Seniors have worked for decades before the rise of retailers such as Starbucks or Dunkin Donuts. As time passed, our elderly grew dependent alongside the rest of the population on these coffee distribution centers, hence a lot of money spent. Nevertheless, if you are an avid lover of coffee, why spend money daily in Starbucks or Dunkin Donuts when you can simply home brew your own coffee? You’ll start to see massive savings as a result.
As we get older, the need for exercise becomes more essential. The temptation to start a membership at your local gym is high -and no one is trying to dissuade you from doing so (if you can afford it). However, when looking for ways to save money, there are free and effective ways for seniors to exercise daily. Something as simple as going on a run around your neighborhood will do the trick. Any daily habit in which you exercise moderately for 30 minutes will do the trick. Examples of this include walking, jogging, yoga, biking, tennis, and more.
Getting a Part-Time Job
If you’re tired of having nothing to do all day, then why not get back into the workforce? Instead of a full-time job, you can apply for simple part-time jobs that don’t require much effort. At a time when your income is fixed after you retire, it is never a bad option to start working again, even if it’s a lower-paying job. Consider jobs that provide you with an administrative role that doesn’t demand too much of you. These jobs could include working at a supermarket, retailer, or even focusing on a hobby that you could turn into a business. In the end, if you’re making money and it makes you happy, why not try it?
National Park Discounts
Across the United States, national parks often require any visitors to pay an entry fee to enjoy the park ground and facilities for that day. Fees will vary widely depending on the park you travel to, but one thing these parks have in common is the senior discounts they provide. Senior ticket prices are much cheaper than it would be for any adult 18 years or older. Furthermore, some parks even provide annual senior passes that are as much as 50% cheaper than an adult annual pass.
A good way for seniors to save money regularly is by utilizing store discounts or coupons. While it may not be common knowledge to everyone, retail discounts change sporadically. You have to pay attention as to when big discounts are coming in order to time your purchases. In addition, discounts and coupons are found more frequently online, and more often than not, the offers tend to be better when ordering from the store website. Once you master the art of shopping with coupons and discounts, you’ll be on your way to saving some money.
Credit Card Points
Depending on the credit card you have, you could be eligible for a ton of discounts and benefits. Through a point collection system based on how much credit is utilized on your credit card, some companies entice consumers to redeem their rewards for numerous things. For instance, the Chase Freedom card allows you to redeem points for cash, flights, apple products, or even paying off your credit card. The rewards will vary from card to card, so it is important that you do your own research, then select the card that suits you!
For people who find themselves shopping consistently in the same location, you might want to sign up for a rewards program. Tons of stores have their own reward system that allows customers to gain points after every in-store purchase. Although it is a minuscule amount that you gain after every purchase, the points eventually add up to a large amount. Seniors stand to benefit the most, especially if they have retired.
Are you a current or former veteran? If the answer is yes, then you stand to gain a lot from this privilege. Veterans are subject to discounts in a wide array of stores. The average discount percentage is 15%. That is not a number to be ignored or treated lightly. Usually, that military discount can be paired with any other discounts that the store may have, which could lead to significant savings for your wallet. Don’t be afraid to ask for that discount and make your voice heard!